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BMW X3, Car Leasing, SUV
#237 of 1204 X3 Leasing....
Jun 24, 2006 (9:22 pm)
I am looking to lease an X3 BMW. I have no experience with making "deals" as far as leasing goes. Could you please explain to me what I can do and what I should know going into this experience. I do not want to get ripped off.
I am looking at X3's range 41-45K.
I live in Bend, Oregon. there is only one BMW dealer here in town. should I drive over to the valley...Salem/Portland to get a better deal?
I have Volvo V50 2005 at this time. can I make any deals with a trade-in? the Volvo is bluebooked at around 25K+.
what is the best way to approach this?
please help. I don't want to be ignorant going into this lease.
#238 of 1204 Re: X3 Leasing.... [mapperman]
Jun 25, 2006 (10:13 pm)
mapperman, if you are really serious, I would recommend reading a good book on automobile leasing to really understand what to look for. I also recommend reading through this entire thread. When I leased my X3 I found a deal that someone had posted here, took it in to the dealership, and asked them to match it. The numbers posted here will give you a good idea of what to shoot for. But, if you don't understand how a lease works the dealership can still slip some part of the deal by you that may look OK at first, but really is just extra money in their pocket.
#239 of 1204 Re: X3 Leasing.... [mapperman]
Jul 02, 2006 (6:02 am)
Greetings mapperman. Since you are new to the world of leasing, you definitely should check out the following informative articles that are available here at Edmunds.com prior to visiting any dealers: 10 Steps to Leasing a New Car and Calculate Your Own Lease Payment.
When negotiating a lease, the two most important numbers to focus on are your vehicle's selling price and its money factor. These ate the two main profit centers for dealers. Negotiate as low a selling price as possible on the X3 that you want and then have the dealer calculate its lease payment using BMW Financial Services' "buy rate" lease money factor. This car's current buy rate is .00185. It is important to make sure that this is the number that is being used to calculate your truck's lease payment because BMW dealers are notorious for marking vehicles' money factors up to add additional back-end profit to deals.
If you want to trade in your Volvo, treat it as a separate transaction. You can find out approximately what your vehicle is worth by looking up its Edmunds.com True Market Value in the Used Vehicle Pricing section of this site. You also may want to stop by the following discussion: "Real-World Trade-In Values". When you trade in your car, have the dealer cut you a check for any equity that you have in it rather than using the proceeds from it as a capitalized cost reduction for your lease. It is in your best interest not to make large down payments when leasing because if your leased vehicle is totaled in an accident or stolen and never recovered, your down payment essentially disappears.
Well, that covers the basics. Let me know if you have any other questions.
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#240 of 1204 Current Lease Rates
Jul 12, 2006 (11:07 am)
What are the current lease rates for the X3? I saw that there were some lease specials, but I'd like to know the breakdown, i.e. residual, money factor and so forth. Supposed to be good through Aug 31 I think.
#241 of 1204 Re: Current Lease Rates [edever]
Jul 18, 2006 (6:05 pm)
I'm also interested in the current money factors and residual rates on X3's. Specifically, I'm looking at a 24 month lease with 20K miles per year. Not sure if you can get this or if you have to buy miles to get it...
Any help Car man is appreciated!
#242 of 1204 Re: Current Lease Rates [kptaylor]
Jul 23, 2006 (1:29 am)
I just got my new lease on X3 yesterday...
78% for 24-month, 10k/yr
77% for 24-month, 12k/yr
68% for 364-month, 10k/yr
67% for 36-month, 12k/yr
money factor (good til 8/31): .00195 (seems to have gone up a bit from .00185)
#243 of 1204 Re: Current Lease Rates [edever]
Jul 27, 2006 (3:01 am)
Hi edever. BMW Financial Services' current 36 month, 12,000 mile peer year buy rate lease money factor and residual value for the 2006 X3 3.0i are .00195 and 67%, respectively.
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#244 of 1204 Re: Current Lease Rates [kptaylor]
Jul 27, 2006 (3:04 am)
Hi kptaylor. BMW Financial Services' current 24 month, 15,000 mile per year buy rate lease money factor and residual value for the 2006 X3 are .00195 and 75%, respectively. 15,000 miles per year is the highest residual value that BMW publishes residual values for. If you need to drive more than this, you will have to purchase additional miles on a per-mile basis. It is less expensive to do so at lease signing than it is to wait until lease-end and have to pay an excess mileage penalty.
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#245 of 1204 Re: Buyout? Is it smart.
Aug 08, 2006 (10:14 am)
I need an advice. I recently leased 2006 X3, Sport package for 36 months. I pay $615 /mo.; have 30 months left,. I am thinking is it gonna be a good deal to buyout now. The buyout is around 40,000. CapitalOne is giving me financing for 72 month at 9.1%. This makes about $730/mo. I like to keep this car for longer. Do you think it is better to wait until the lease end and then to buy rather than to buy now? Any advice will be appreciated. Thanks
#246 of 1204 Re: Buyout? Is it smart. [imgdoc]
Aug 08, 2006 (10:56 am)
I'm sure other people will have good opinions but I think this sounds like an awful deal! First $615/mo sounds high for a lease. Doesn't sound like there was any reduction in the cost of the car.
Secondly, the interest rate on the loan is pretty high. My credit union is currently offering a rate of 6.24% for a 72 month auto loan. There must be other banks out there that can offer you better than 9.1!
Also, by taking out such a long loan you will be paying a ton of interest, over $12,000 in interest and that's on top of the 6 months of payments you've already made. You will end up paying over $56,000 for this car that will be 6 years old by the time it's paid for. The 2013 models will be coming out and you'll be driving a 2006 which you'll have to keep driving in order to recoup some of the interest money and won't be under warranty.
Unfortunately I don't know what the answer is. I would consider sticking with the lease and negotiating a good price to buy the next one.